Illinois General Assembly - Full Text of SB3614
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Full Text of SB3614  102nd General Assembly

SB3614 102ND GENERAL ASSEMBLY

  
  

 


 
102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
SB3614

 

Introduced 1/19/2022, by Sen. Sue Rezin

 

SYNOPSIS AS INTRODUCED:
 
415 ILCS 5/9.15

    Amends the Environmental Protection Act. Provides that, every 5 years beginning in 2022 (rather than beginning in 2025), the Environmental Protection Agency, Illinois Power Agency, and Illinois Commerce Commission shall jointly prepare, and release publicly, a report to the General Assembly with specified information. Effective immediately.


LRB102 24973 CPF 34228 b

 

 

A BILL FOR

 

SB3614LRB102 24973 CPF 34228 b

1    AN ACT concerning safety.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Environmental Protection Act is amended by
5changing Section 9.15 as follows:
 
6    (415 ILCS 5/9.15)
7    Sec. 9.15. Greenhouse gases.
8    (a) An air pollution construction permit shall not be
9required due to emissions of greenhouse gases if the
10equipment, site, or source is not subject to regulation, as
11defined by 40 CFR 52.21, as now or hereafter amended, for
12greenhouse gases or is otherwise not addressed in this Section
13or by the Board in regulations for greenhouse gases. These
14exemptions do not relieve an owner or operator from the
15obligation to comply with other applicable rules or
16regulations.
17    (b) An air pollution operating permit shall not be
18required due to emissions of greenhouse gases if the
19equipment, site, or source is not subject to regulation, as
20defined by Section 39.5 of this Act, for greenhouse gases or is
21otherwise not addressed in this Section or by the Board in
22regulations for greenhouse gases. These exemptions do not
23relieve an owner or operator from the obligation to comply

 

 

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1with other applicable rules or regulations.
2    (c) (Blank).
3    (d) (Blank).
4    (e) (Blank).
5    (f) As used in this Section:
6    "Carbon dioxide emission" means the plant annual CO2 total
7output emission as measured by the United States Environmental
8Protection Agency in its Emissions & Generation Resource
9Integrated Database (eGrid), or its successor.
10    "Carbon dioxide equivalent emissions" or "CO2e" means the
11sum total of the mass amount of emissions in tons per year,
12calculated by multiplying the mass amount of each of the 6
13greenhouse gases specified in Section 3.207, in tons per year,
14by its associated global warming potential as set forth in 40
15CFR 98, subpart A, table A-1 or its successor, and then adding
16them all together.
17    "Cogeneration" or "combined heat and power" refers to any
18system that, either simultaneously or sequentially, produces
19electricity and useful thermal energy from a single fuel
20source.
21    "Copollutants" refers to the 6 criteria pollutants that
22have been identified by the United States Environmental
23Protection Agency pursuant to the Clean Air Act.
24    "Electric generating unit" or "EGU" means a fossil
25fuel-fired stationary boiler, combustion turbine, or combined
26cycle system that serves a generator that has a nameplate

 

 

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1capacity greater than 25 MWe and produces electricity for
2sale.
3    "Environmental justice community" means the definition of
4that term based on existing methodologies and findings, used
5and as may be updated by the Illinois Power Agency and its
6program administrator in the Illinois Solar for All Program.
7    "Equity investment eligible community" or "eligible
8community" means the geographic areas throughout Illinois that
9would most benefit from equitable investments by the State
10designed to combat discrimination and foster sustainable
11economic growth. Specifically, eligible community means the
12following areas:
13        (1) areas where residents have been historically
14    excluded from economic opportunities, including
15    opportunities in the energy sector, as defined as R3 areas
16    pursuant to Section 10-40 of the Cannabis Regulation and
17    Tax Act; and
18        (2) areas where residents have been historically
19    subject to disproportionate burdens of pollution,
20    including pollution from the energy sector, as established
21    by environmental justice communities as defined by the
22    Illinois Power Agency pursuant to the Illinois Power
23    Agency Act, excluding any racial or ethnic indicators.
24    "Equity investment eligible person" or "eligible person"
25means the persons who would most benefit from equitable
26investments by the State designed to combat discrimination and

 

 

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1foster sustainable economic growth. Specifically, eligible
2person means the following people:
3        (1) persons whose primary residence is in an equity
4    investment eligible community;
5        (2) persons whose primary residence is in a
6    municipality, or a county with a population under 100,000,
7    where the closure of an electric generating unit or mine
8    has been publicly announced or the electric generating
9    unit or mine is in the process of closing or closed within
10    the last 5 years;
11        (3) persons who are graduates of or currently enrolled
12    in the foster care system; or
13        (4) persons who were formerly incarcerated.
14    "Existing emissions" means:
15        (1) for CO2e, the total average tons-per-year of CO2e
16    emitted by the EGU or large GHG-emitting unit either in
17    the years 2018 through 2020 or, if the unit was not yet in
18    operation by January 1, 2018, in the first 3 full years of
19    that unit's operation; and
20        (2) for any copollutant, the total average
21    tons-per-year of that copollutant emitted by the EGU or
22    large GHG-emitting unit either in the years 2018 through
23    2020 or, if the unit was not yet in operation by January 1,
24    2018, in the first 3 full years of that unit's operation.
25    "Green hydrogen" means a power plant technology in which
26an EGU creates electric power exclusively from electrolytic

 

 

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1hydrogen, in a manner that produces zero carbon and
2copollutant emissions, using hydrogen fuel that is
3electrolyzed using a 100% renewable zero carbon emission
4energy source.
5    "Large greenhouse gas-emitting unit" or "large
6GHG-emitting unit" means a unit that is an electric generating
7unit or other fossil fuel-fired unit that itself has a
8nameplate capacity or serves a generator that has a nameplate
9capacity greater than 25 MWe and that produces electricity,
10including, but not limited to, coal-fired, coal-derived,
11oil-fired, natural gas-fired, and cogeneration units.
12    "NOx emission rate" means the plant annual NOx total output
13emission rate as measured by the United States Environmental
14Protection Agency in its Emissions & Generation Resource
15Integrated Database (eGrid), or its successor, in the most
16recent year for which data is available.
17    "Public greenhouse gas-emitting units" or "public
18GHG-emitting unit" means large greenhouse gas-emitting units,
19including EGUs, that are wholly owned, directly or indirectly,
20by one or more municipalities, municipal corporations, joint
21municipal electric power agencies, electric cooperatives, or
22other governmental or nonprofit entities, whether organized
23and created under the laws of Illinois or another state.
24    "SO2 emission rate" means the "plant annual SO2 total
25output emission rate" as measured by the United States
26Environmental Protection Agency in its Emissions & Generation

 

 

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1Resource Integrated Database (eGrid), or its successor, in the
2most recent year for which data is available.
3    (g) All EGUs and large greenhouse gas-emitting units that
4use coal or oil as a fuel and are not public GHG-emitting units
5shall permanently reduce all CO2e and copollutant emissions to
6zero no later than January 1, 2030.
7    (h) All EGUs and large greenhouse gas-emitting units that
8use coal as a fuel and are public GHG-emitting units shall
9permanently reduce CO2e emissions to zero no later than
10December 31, 2045. Any source or plant with such units must
11also reduce their CO2e emissions by 45% from existing
12emissions by no later than January 1, 2035. If the emissions
13reduction requirement is not achieved by December 31, 2035,
14the plant shall retire one or more units or otherwise reduce
15its CO2e emissions by 45% from existing emissions by June 30,
162038.
17    (i) All EGUs and large greenhouse gas-emitting units that
18use gas as a fuel and are not public GHG-emitting units shall
19permanently reduce all CO2e and copollutant emissions to zero,
20including through unit retirement or the use of 100% green
21hydrogen or other similar technology that is commercially
22proven to achieve zero carbon emissions, according to the
23following:
24        (1) No later than January 1, 2030: all EGUs and large
25    greenhouse gas-emitting units that have a NOx emissions
26    rate of greater than 0.12 lbs/MWh or a SO2 emission rate of

 

 

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1    greater than 0.006 lb/MWh, and are located in or within 3
2    miles of an environmental justice community designated as
3    of January 1, 2021 or an equity investment eligible
4    community.
5        (2) No later than January 1, 2040: all EGUs and large
6    greenhouse gas-emitting units that have a NOx emission
7    rate of greater than 0.12 lbs/MWh or a SO2 emission rate
8    greater than 0.006 lb/MWh, and are not located in or
9    within 3 miles of an environmental justice community
10    designated as of January 1, 2021 or an equity investment
11    eligible community. After January 1, 2035, each such EGU
12    and large greenhouse gas-emitting unit shall reduce its
13    CO2e emissions by at least 50% from its existing emissions
14    for CO2e, and shall be limited in operation to, on average,
15    6 hours or less per day, measured over a calendar year, and
16    shall not run for more than 24 consecutive hours except in
17    emergency conditions, as designated by a Regional
18    Transmission Organization or Independent System Operator.
19        (3) No later than January 1, 2035: all EGUs and large
20    greenhouse gas-emitting units that began operation prior
21    to the effective date of this amendatory Act of the 102nd
22    General Assembly and have a NOx emission rate of less than
23    or equal to 0.12 lb/MWh and a SO2 emission rate less than
24    or equal to 0.006 lb/MWh, and are located in or within 3
25    miles of an environmental justice community designated as
26    of January 1, 2021 or an equity investment eligible

 

 

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1    community. Each such EGU and large greenhouse gas-emitting
2    unit shall reduce its CO2e emissions by at least 50% from
3    its existing emissions for CO2e no later than January 1,
4    2030.
5        (4) No later than January 1, 2040: All remaining EGUs
6    and large greenhouse gas-emitting units that have a heat
7    rate greater than or equal to 7000 BTU/kWh. Each such EGU
8    and Large greenhouse gas-emitting unit shall reduce its
9    CO2e emissions by at least 50% from its existing emissions
10    for CO2e no later than January 1, 2035.
11        (5) No later than January 1, 2045: all remaining EGUs
12    and large greenhouse gas-emitting units.
13    (j) All EGUs and large greenhouse gas-emitting units that
14use gas as a fuel and are public GHG-emitting units shall
15permanently reduce all CO2e and copollutant emissions to zero,
16including through unit retirement or the use of 100% green
17hydrogen or other similar technology that is commercially
18proven to achieve zero carbon emissions by January 1, 2045.
19    (k) All EGUs and large greenhouse gas-emitting units that
20utilize combined heat and power or cogeneration technology
21shall permanently reduce all CO2e and copollutant emissions to
22zero, including through unit retirement or the use of 100%
23green hydrogen or other similar technology that is
24commercially proven to achieve zero carbon emissions by
25January 1, 2045.
26    (k-5) No EGU or large greenhouse gas-emitting unit that

 

 

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1uses gas as a fuel and is not a public GHG-emitting unit may
2emit, in any 12-month period, CO2e or copollutants in excess of
3that unit's existing emissions for those pollutants.
4    (l) Notwithstanding subsections (g) through (k-5), large
5GHG-emitting units including EGUs may temporarily continue
6emitting greenhouse gases after any applicable deadline
7specified in any of subsections (g) through (k-5) if it has
8been determined, as described in paragraphs (1) and (2) of
9this subsection, that ongoing operation of the EGU is
10necessary to maintain power grid supply and reliability or
11ongoing operation of large GHG-emitting unit that is not an
12EGU is necessary to serve as an emergency backup to
13operations. Up to and including the occurrence of an emission
14reduction deadline under subsection (i), all EGUs and large
15GHG-emitting units must comply with the following terms:
16        (1) if an EGU or large GHG-emitting unit that is a
17    participant in a regional transmission organization
18    intends to retire, it must submit documentation to the
19    appropriate regional transmission organization by the
20    appropriate deadline that meets all applicable regulatory
21    requirements necessary to obtain approval to permanently
22    cease operating the large GHG-emitting unit;
23        (2) if any EGU or large GHG-emitting unit that is a
24    participant in a regional transmission organization
25    receives notice that the regional transmission
26    organization has determined that continued operation of

 

 

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1    the unit is required, the unit may continue operating
2    until the issue identified by the regional transmission
3    organization is resolved. The owner or operator of the
4    unit must cooperate with the regional transmission
5    organization in resolving the issue and must reduce its
6    emissions to zero, consistent with the requirements under
7    subsection (g), (h), (i), (j), (k), or (k-5), as
8    applicable, as soon as practicable when the issue
9    identified by the regional transmission organization is
10    resolved; and
11        (3) any large GHG-emitting unit that is not a
12    participant in a regional transmission organization shall
13    be allowed to continue emitting greenhouse gases after the
14    zero-emission date specified in subsection (g), (h), (i),
15    (j), (k), or (k-5), as applicable, in the capacity of an
16    emergency backup unit if approved by the Illinois Commerce
17    Commission.
18    (m) No variance, adjusted standard, or other regulatory
19relief otherwise available in this Act may be granted to the
20emissions reduction and elimination obligations in this
21Section.
22    (n) By June 30 of each year, beginning in 2025, the Agency
23shall prepare and publish on its website a report setting
24forth the actual greenhouse gas emissions from individual
25units and the aggregate statewide emissions from all units for
26the prior year.

 

 

SB3614- 11 -LRB102 24973 CPF 34228 b

1    (o) Every 5 years beginning in 2022 2025, the
2Environmental Protection Agency, Illinois Power Agency, and
3Illinois Commerce Commission shall jointly prepare, and
4release publicly, a report to the General Assembly that
5examines the State's current progress toward its renewable
6energy resource development goals, the status of CO2e and
7copollutant emissions reductions, the current status and
8progress toward developing and implementing green hydrogen
9technologies, the current and projected status of electric
10resource adequacy and reliability throughout the State for the
11period beginning 5 years ahead, and proposed solutions for any
12findings. The Environmental Protection Agency, Illinois Power
13Agency, and Illinois Commerce Commission shall consult PJM
14Interconnection, LLC and Midcontinent Independent System
15Operator, Inc., or their respective successor organizations
16regarding forecasted resource adequacy and reliability needs,
17anticipated new generation interconnection, new transmission
18development or upgrades, and any announced large GHG-emitting
19unit closure dates and include this information in the report.
20The report shall be released publicly by no later than
21December 15 of the year it is prepared. If the Environmental
22Protection Agency, Illinois Power Agency, and Illinois
23Commerce Commission jointly conclude in the report that the
24data from the regional grid operators, the pace of renewable
25energy development, the pace of development of energy storage
26and demand response utilization, transmission capacity, and

 

 

SB3614- 12 -LRB102 24973 CPF 34228 b

1the CO2e and copollutant emissions reductions required by
2subsection (i) or (k-5) reasonably demonstrate that a resource
3adequacy shortfall will occur, including whether there will be
4sufficient in-state capacity to meet the zonal requirements of
5MISO Zone 4 or the PJM ComEd Zone, per the requirements of the
6regional transmission organizations, or that the regional
7transmission operators determine that a reliability violation
8will occur during the time frame the study is evaluating, then
9the Illinois Power Agency, in conjunction with the
10Environmental Protection Agency shall develop a plan to reduce
11or delay CO2e and copollutant emissions reductions
12requirements only to the extent and for the duration necessary
13to meet the resource adequacy and reliability needs of the
14State, including allowing any plants whose emission reduction
15deadline has been identified in the plan as creating a
16reliability concern to continue operating, including operating
17with reduced emissions or as emergency backup where
18appropriate. The plan shall also consider the use of renewable
19energy, energy storage, demand response, transmission
20development, or other strategies to resolve the identified
21resource adequacy shortfall or reliability violation.
22        (1) In developing the plan, the Environmental
23    Protection Agency and the Illinois Power Agency shall hold
24    at least one workshop open to, and accessible at a time and
25    place convenient to, the public and shall consider any
26    comments made by stakeholders or the public. Upon

 

 

SB3614- 13 -LRB102 24973 CPF 34228 b

1    development of the plan, copies of the plan shall be
2    posted and made publicly available on the Environmental
3    Protection Agency's, the Illinois Power Agency's, and the
4    Illinois Commerce Commission's websites. All interested
5    parties shall have 60 days following the date of posting
6    to provide comment to the Environmental Protection Agency
7    and the Illinois Power Agency on the plan. All comments
8    submitted to the Environmental Protection Agency and the
9    Illinois Power Agency shall be encouraged to be specific,
10    supported by data or other detailed analyses, and, if
11    objecting to all or a portion of the plan, accompanied by
12    specific alternative wording or proposals. All comments
13    shall be posted on the Environmental Protection Agency's,
14    the Illinois Power Agency's, and the Illinois Commerce
15    Commission's websites. Within 30 days following the end of
16    the 60-day review period, the Environmental Protection
17    Agency and the Illinois Power Agency shall revise the plan
18    as necessary based on the comments received and file its
19    revised plan with the Illinois Commerce Commission for
20    approval.
21        (2) Within 60 days after the filing of the revised
22    plan at the Illinois Commerce Commission, any person
23    objecting to the plan shall file an objection with the
24    Illinois Commerce Commission. Within 30 days after the
25    expiration of the comment period, the Illinois Commerce
26    Commission shall determine whether an evidentiary hearing

 

 

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1    is necessary. The Illinois Commerce Commission shall also
2    host 3 public hearings within 90 days after the plan is
3    filed. Following the evidentiary and public hearings, the
4    Illinois Commerce Commission shall enter its order
5    approving or approving with modifications the reliability
6    mitigation plan within 180 days.
7        (3) The Illinois Commerce Commission shall only
8    approve the plan if the Illinois Commerce Commission
9    determines that it will resolve the resource adequacy or
10    reliability deficiency identified in the reliability
11    mitigation plan at the least amount of CO2e and copollutant
12    emissions, taking into consideration the emissions impacts
13    on environmental justice communities, and that it will
14    ensure adequate, reliable, affordable, efficient, and
15    environmentally sustainable electric service at the lowest
16    total cost over time, taking into account the impact of
17    increases in emissions.
18        (4) If the resource adequacy or reliability deficiency
19    identified in the reliability mitigation plan is resolved
20    or reduced, the Environmental Protection Agency and the
21    Illinois Power Agency may file an amended plan adjusting
22    the reduction or delay in CO2e and copollutant emission
23    reduction requirements identified in the plan.
24(Source: P.A. 102-662, eff. 9-15-21.)
 
25    Section 99. Effective date. This Act takes effect upon
26becoming law.